Should I fix my energy tariff?

Compare the fixed unit rate and standing charge against your current capped rates and consider the exit fee. Fixing buys certainty; whether it saves money depends on where the cap moves next.

Do smart meters save money?

Not on their own — they end estimated billing and show usage in real time, which helps you change behaviour. The saving comes from what you do with the information.

Is it cheaper to leave the heating on low all day?

For most homes, no. Heating only when you need it loses less heat overall than maintaining a temperature in an empty house.

How to save money on energy bills in the UK

6 min read

Energy is the household bill with the widest gap between what people think saves money and what actually does. Most of the win comes from three places: being on the right tariff, being billed on real readings, and reducing heat loss rather than unplugging chargers.

1. Know what you are actually paying

Your bill has two parts: a standing charge for each day you are connected, and a unit rate for each kWh you use. Ofgem's price cap limits both for standard variable tariffs in England, Scotland and Wales, and it is reviewed periodically — so 'capped' does not mean 'fixed'.

Find your current unit rate and standing charge on your latest bill or in your online account. Without those two numbers you cannot judge whether any fixed deal you are offered is genuinely cheaper.

Compare fixed offers against your current rates, not against last year's bill.
Check any exit fee before fixing, and how long the fix runs.
Standing charges vary by region and supplier — factor them in if you are a low user.

2. Stop being billed on estimates

Estimated bills drift, and the correction usually arrives as an unwelcome lump sum. Submit a meter reading monthly, or confirm your smart meter is actually sending readings rather than sitting in 'dumb' mode after a switch.

Also check your direct debit level. Suppliers sometimes hold large credit balances; if yours has built up well beyond one month's usage heading into summer, you can ask for a refund and a lower monthly amount.

3. Cut usage where the energy actually goes

Heating and hot water dominate a typical UK home's energy use. Time and temperature controls beat gadget-level tinkering by a wide margin.

Set the thermostat to the lowest comfortable temperature and let the timer, not the boiler dial, do the work.
Turn down the flow temperature on a combi boiler — many are set far higher than they need to be for radiators.
Use thermostatic radiator valves to stop heating rooms nobody uses.
Draught-proof doors, letterboxes and floorboards — cheap, and it works immediately.
Shorter showers and a lower hot-water cylinder setting cut gas noticeably in most homes.

4. Claim the support you are entitled to

Several UK schemes are not applied automatically. Check the Warm Home Discount, Winter Fuel Payment and Cold Weather Payment rules for the current year on GOV.UK, and ask your supplier directly about their hardship fund and priority services register.

If you are in arrears, contact your supplier before missing a payment — they are obliged to discuss affordable repayment plans, and some write off debt through their own schemes.

See this applied to your own money

Ai Money Saver checks your income and outgoings — typed in, from a bank statement, or talked through — and shows where you're likely overpaying before you pay anything.

Start assessment Use a bank statement

Frequently asked questions

Should I fix my energy tariff?: Compare the fixed unit rate and standing charge against your current capped rates and consider the exit fee. Fixing buys certainty; whether it saves money depends on where the cap moves next.
Do smart meters save money?: Not on their own — they end estimated billing and show usage in real time, which helps you change behaviour. The saving comes from what you do with the information.
Is it cheaper to leave the heating on low all day?: For most homes, no. Heating only when you need it loses less heat overall than maintaining a temperature in an empty house.